Description

Revised minimum application amounts and introduction of monthly SIP frequency for Axis Mutual Fund schemes effective August 25, 2025.

Summary

Axis Mutual Fund has revised the minimum application amounts for Axis Liquid Fund - Growth option and Axis Overnight Fund - Growth option, reducing them from Rs. 500 to Rs. 100 for lumpsum transactions. The minimum SIP amount has also been reduced from Rs. 1,000 to Rs. 100 for both funds. Additionally, monthly SIP frequency has been introduced for Axis Overnight Fund.

Key Points

  • Minimum application amount for lumpsum transactions reduced from Rs. 500 to Rs. 100
  • Minimum SIP amount reduced from Rs. 1,000 to Rs. 100 for both funds
  • Monthly SIP frequency introduced for Axis Overnight Fund - Growth option
  • Changes apply to switch-ins and additional purchase amounts
  • All other terms and conditions remain unchanged

Regulatory Changes

This notice-cum-addendum forms an integral part of the Scheme Information Document (SID) and Key Information Memorandum (KIM) of the mentioned schemes. The changes are being implemented to make the funds more accessible to retail investors by lowering entry barriers.

Compliance Requirements

  • Fund house must update all scheme documents with revised minimum amounts
  • BSE StAR MF platform systems must be updated to reflect new minimum amounts
  • Investors must be notified of the changes through proper channels
  • All distributors and intermediaries must be informed of the revised provisions

Important Dates

  • Effective Date: August 25, 2025
  • Notice Date: August 14, 2025
  • Circular Number: 51/2025-2026

Impact Assessment

The reduction in minimum application amounts from Rs. 500 to Rs. 100 for lumpsum investments and from Rs. 1,000 to Rs. 100 for SIPs significantly lowers the entry barrier for retail investors. This change is expected to increase participation in liquid and overnight funds, particularly among small investors. The introduction of monthly SIP frequency for Axis Overnight Fund provides additional flexibility for investors seeking regular investment options.

Impact Justification

Reduces investment barriers by lowering minimum amounts, making funds more accessible to retail investors